Sangeetha S
The Middle East plays an important role in global trade and energy supply. The conflict involving the United States and Iran has created instability in international markets and affected global trade routes. This study examines the economic impact of the conflict on oil prices, shipping activities, supply chains, and the global economy. The research is based on secondary data collected from journals, reports, books, and reliable websites. The study found that the conflict increased oil prices, disrupted important trade routes such as the Strait of Hormuz and the Red Sea, and created delays in global supply chains. Transportation and shipping costs also increased, affecting international business activities and economic growth. Developing countries faced greater economic challenges due to rising import costs and inflation. The study concludes that political stability and international cooperation are necessary to reduce trade disruptions and maintain global economic stability.